Surfing Social Media

surfing_social_mediaBack when Zuckerberg was a but a tween and Twitter was yet a twinkle in anyone’s eye, the customer of a multivariate testing SaaS vendor ran an interesting promotional test: 20% off any purchase against buy one refrigerator and get another free. To everyone’s surprise, refrigerators flew out the door. Turns out, the Joneses found out about the deal and told the Smiths who came in on it with them. Each family went home with a half price fridge.

What a testament to the power of testing, we all said. Who knew you could move such a large item with such a promotion? What we all thought we learned was that you never know what you don’t know. And you’ll never know unless you test.

What we didn’t talk about was what this test revealed about our audience: that it is networked and collaborative. Fast forward a few years to the rise of Facebook and Twitter and the social web is the biggest shiny object to hit marketing since TV. Yet social media marketing ROI remains unproven for many.

What the testing anecdote above reveals and what’s important to note about social media is that it has a life of it’s own, whether marketers like it or not. Smart social marketing is the deft leveraging what is already there. Like surfing. Navigating social media works best when marketers start returning to the basics: Find an unmet need and fill it. Social media marketing is observant, responsive and adaptive more than it is engaging and impressive. The success of your social media strategy will be measured by how useful your audience declares it to be.

(Marketers? Useful?)

As marketers scramble to unravel the knot of social media, their frustration mounts each time they apply old marketing expectations to the new consumer organism. (Old: Build market share. New: Build relationships.) Many marketers hate the whole idea of social media, as noted by Matt Jones in his Why I Hate Social Media for AdAge.

Not only must marketing expectations adapt to the social marketplace, but the entire business model must also. The last 100 years have rewarded the quest for scale (Ford, Tide, Clorox). But like a wave folding over on itself, that scale has turned into commoditization, razor thin margins and enslavement to the retailer. Walgreen’s distributes 60% of all the Tide in the US. Retail owns the relationship with the Tide customer, not P&G. Not as great a business it was in say, 1962.

Letting go of old marketing expectations and embracing the social marketplace is not only smart marketing, it’s smart business. Most are convinced that the history writers will credit mostly lack of adaptability to the extinction of the great 20th century behemoth brands.

It’s not a stretch to see the potential folly in, “Who cares what it is? Just dive in and we’ll all figure it out later.” But this is the early adopter’s chief maxim. And if marketer’s return to their core purpose of finding unmet needs and filling them, they too will find themselves again at the forefront of adaptability.

The Future of Digital Marketing

future_digital_marketingNotes from a great panel discussion from Twist Image on the future of digital marketing. Featuring Charlene Li, author of Groundswell – Winning in a World Transformed by Social Technologies, and Seth Godin among others.

  • Interruption marketing is over.
  • Ubiquitous brand building is over.
  • Marketers need to stop clinging to building brand value and return to the basic marketing function: find a need and fill it.
  • Television was designed after radio – as a mechanism for building large-scale national brands. The Internet was not.
  • The translation of value into wealth online is elusive.
  • Marketers may not know what the Internet is, but they need to be of it, by it and for it.
  • The confused, organic structure of the Internet should be embraced, not feared. If corporate governance is too hard to change, the entity will die. Culture matters.

 

The Future Workplace

adhocracy_logo_cropped

Very interesting podcast on the Future of Work from PRI as a follow up to a recent Time Magazine cover story exploring among other things, generational shifts in the needs and demands of labor.

Apparently Alvin Toffler was on the right track as far back as 1971 when in Future Shock he predicted a future workplace not of bureaucracies, but ad-hocracies. Of loose, impermanent associations between highly specialized individual contributors.

When I first read the book, I remember assuming that it would be the corporations that would lead the evolution toward increasingly complex, specialized networks of human resources. It seemed such an efficient, attractive prospect to the managerial mind. I don’t remember imagining that labor would be the catalyst for dissolving hierarchical institutions into interconnected resource networks. What would be in it for them? No retirement, no paid vacation, no management training, no career path.

But it turns out to be the preferred avenue for labor exchange among the young. Gen Ys are less interested in perks like health care and paid vacation and less interested in the long-term security of corporate ladder climbing – all the things corporate bureaucracies have traditionally provided. Looks like tomorrow’s work force will be negotiating mostly for increased flexibility, which smart employers will learn to use to their advantage.

Of course, a networked labor force only works if each individual contributor is strongly accountable. The good news is, lack of accountability has no place to hide in a management-labor relationship that is entirely pure. No perks. Just work.

That we can look forward to a more entrepreneurial workforce willing to take on more risk in ad-hoc relationships with employers is good. That we can look forward to a workforce who assumes personal responsibility by paying for their own health care, vacations and retirement is good. And that, by it’s very nature, this evolved workforce is more accountable – marvelous!

Twitter Value Prop: Addiction?

addictionI’ve been wondering what the Twitter value proposition to me is for some time. I get what Twitter is, and yes, I Tweet, but I’ve never been entirely sure why Twitter should matter to me. Apparently, many share in my quandry, says Silicon Valley, The Harvard Business Review, Nielsen and others.

By a number of measures, Twitter’s metrics look pretty dismal. User engagement is low and customer retention even lower. Numbers like these beg the question, what is the real and compelling value to a business or consumer in using the Twitter application?

Even the CEO says what he’s shooting for in a relationship with his audience is addiction.

The Utility of Social Media

oprah_facebook

Facebook’s arrival as a lifestyle brand was cemented the moment Zuckerberg appeared on Oprah. Having been on Facebook for several years as an Internet marketing professional, one can’t help but notice the sudden barrage of old high school friends (stay at home moms) having suddenly found me on Facebook. A noticeable shift in the FB demographic has taken place in the last six months.

Which makes the brand now part of popular culture, properly cited by Steve Rubel as the key motivation for recent advertiser interest in Facebook. Advertisers from Palm to Sprint are plugging Facebook in TV spots, aligning themselves with the social media icon that touches 200 million everyday.

But even brands who cozy up to Facebook in TV spots don’t promote their own page in the spot. They give no compelling reason to visit them on Facebook, no call to action, in fact no instructions on how or what to do it even if the viewer wanted to connect with them on Facebook. Which infers that that the advertiser isn’t so interested in having folks visit them on Facebook. Which infers that they have yet to realize, quantify or otherwise evaluate the benefit of Facebook interactions.

Again, the social media ROI dilemma.

Social media is difficult to quantify and always will be because it’s a brand play. A positioning play. A PR play. Twitter, Facebook and media-sharing sites are places to listen (market research) make impressions, join and steer conversations, publish information, and drive brand image. Every day, social media looks more and more like broadcast media, facilitating one-to-many interactions.

Because “online marketing” including SEM, SEO, email and affiliate marketing, has grown up as a direct marketing discipline, it doesn’t know what to make of Facebook and Twitter. Neither are demonstrated lead gen or new traffic generating vehicles. Yet as emerging web-based, interactive channels, social media responsibility often falls to the “online marketer”, who ROI-driven by nature, is skeptical (ahem).

Online marketers who are responsible for the total online presence from AdWords to social media often leave the company Twitter profile to an afterthought. A wise friend said to me back in 2005 when the whole of the Internet was surging toward investments in direct, data-driven marketing, that in the total mix, “there will always be a place for brand, there will always be a place for direct and it’s a mistake to divest entirely in brand marketing online.”

The Irony of Social Media

twitter_sentiment

What a week it’s been for our little blue friend. Everywhere I look, all my favorite sites and blogs are bashing the poor creature. Admittedly, I’ve done a bit of Twitter bashing myself (although I prefer to think of it as critical thought).Like what Mitch Joel has to say about the inherent “volume contradiction” in all social media. Once the volume of any given network (your Facebook friends or Twitter followers) gets to significant levels, the network is no longer “social”. (Check out what I had to say about that a few months ago in ‘Twas the Night Before Twitter Got Monetized.) What may have once been a set of one-to-one interactions by necessity becomes a series of one-to-many broadcasts.

And as a communications channel for would-be marketers, how is that any different from, say, display advertising – also a one-to-many broadcast model?

While marketers clamor to get their social media strategies in place, the irony of social media is that in order for it matter as a channel, it has to start looking like all the others.

Data: The New Black

the_new_blackThe NYT makes data-driven marketing look like the hottest new trend. The article title, Put Ad on Web. Count Clicks. Revise. puts to mind one of the first pieces of marketing copy I worked on for an optimization SaaS provider several years ago: Test. Adapt. Repeat. or somesuch was our pithy copy describing what we helped marketers to do.

Love the piece’s Wall Street meets Madison Avenue description of the future of data-driven marketing. Perhaps we geeks who get giddy over data will soon have our time in the limelight!